Liberty Utilities proposes rate hike

Liberty Utilities Litchfield Park, servicingLitchfield Park, Goodyear, Glendale and Avondale, is proposing significant rate increases for water and wastewater services, citing infrastructure improvements and regulatory compliance costs as key drivers behind the request. The proposed changes, filed with the Arizona Corporation Commission, could take effect as early as the third quarter of 2026.

Under the proposal, average residential water bills would rise by approximately 43.18%, or $10.43 per month, increasing the average monthly bill to $34.60. 

Wastewater bills would see an even steeper increase of 54.14%, or $24.49 per month, bringing the average bill to $69.72.

Liberty Litchfield Park has requested a total water revenue increase and a wastewater revenue increase, with both requests aimed at achieving an 8.45% rate of return on the company’s proposed fair value rate base.

In addition to the rate increases, Liberty is requesting approval for a rate case expense surcharge of $0.44 per water customer and $0.53 per wastewater customer monthly for three years, as well as authorization to issue up to $65 million in long-term debt financing. The financing would support a shift in the company’s capital structure from 74% equity to 54% equity and 46% debt.

The utility is also proposing new mechanisms to adjust rates annually, including a Cost of Service Reconciliation Mechanism and, alternatively, a Federal Compliance Cost Recovery Mechanism targeting costs associated with meeting federal regulations for PFAS and other “forever chemicals.”

To inform the public and receive feedback, Liberty will host three community meetings in October. Each event will feature a presentation at 5:30 p.m., followed by a Q&A session with Liberty staff:

• Thursday, Oct. 9,  at Pebble Creek Tuscany Ballroom, 16262 Clubhouse Dr. in Goodyear, 4:30–6:30 p.m. 
• Tuesday, Oct. 21,  at Hampton Inn & Suites Goodyear, 2000 N Litchfield Rd. in Goodyear, 4:30–6:30 p.m.
• Thursday, Oct. 23,  at Dreaming Summit Elementary, 13335 W Missouri Ave. in Litchfield Park, 4:30–6:30 p.m.

A formal public hearing before the Arizona Corporation Commission is scheduled to begin March 23, 2026, at 10 a.m. at the Commission’s offices in Phoenix. Public comments will also be accepted by phone on March 4 and March 11, 2026. Full details, including phone numbers and passcodes, are available on the ACC’s website.

Residents interested in participating more formally in the case can request to intervene by filing a motion with the Arizona Corporation Commission no later than Friday, Oct. 17.

More information about the proposed changes, including the full rate case application and instructions for public comment or intervention, is available at azcc.gov and libertyutilities.com.